balance sheet\neasy weight loss co. offers personal weight reduction consulting services to individuals…

balance sheet\neasy weight loss co. offers personal weight reduction consulting services to individuals. after all the accounts have been closed on november 30, 20y7, the end of the fiscal year, the balances of selected accounts from the ledger of easy weight loss are as follows:\naccounts payable $41,200\naccounts receivable 130,550\naccumulated depreciation - equipment 45,000\ncash?\ncommon stock 90,000\nequipment 230,000\nland 320,000\nprepaid insurance 7,500\nprepaid rent 4,800\nretained earnings 601,500\nsalaries payable 3,800\nsupplies 9,150\nunearned fees 13,500\nprepare a classified balance sheet that includes the correct balance for cash.\neasy weight loss co.\nbalance sheet\nnovember 30, 20y7\nline item description amount amount amount\nassets\ncurrent assets:\ntotal current assets\nproperty, plant, and equipment:

balance sheet\neasy weight loss co. offers personal weight reduction consulting services to individuals. after all the accounts have been closed on november 30, 20y7, the end of the fiscal year, the balances of selected accounts from the ledger of easy weight loss are as follows:\naccounts payable $41,200\naccounts receivable 130,550\naccumulated depreciation - equipment 45,000\ncash?\ncommon stock 90,000\nequipment 230,000\nland 320,000\nprepaid insurance 7,500\nprepaid rent 4,800\nretained earnings 601,500\nsalaries payable 3,800\nsupplies 9,150\nunearned fees 13,500\nprepare a classified balance sheet that includes the correct balance for cash.\neasy weight loss co.\nbalance sheet\nnovember 30, 20y7\nline item description amount amount amount\nassets\ncurrent assets:\ntotal current assets\nproperty, plant, and equipment:

Answer

Explanation:

Step1: Recall accounting equation

Assets = Liabilities + Stockholders' Equity

Step2: Calculate total liabilities

Accounts Payable ($41,200) + Salaries Payable ($3,800)+ Unearned Fees ($13,500) = $58,500

Step3: Calculate total stockholders' equity

Common Stock ($90,000)+ Retained Earnings ($601,500) = $691,500

Step4: Calculate total assets

Total Liabilities ($58,500)+ Total Stockholders' Equity ($691,500) = $750,000

Step5: Calculate non - current assets

Equipment ($230,000) - Accumulated Depreciation - Equipment ($45,000)+ Land ($320,000)= $505,000

Step6: Calculate current assets

Total Assets ($750,000)- Non - current Assets ($505,000) = $245,000

Step7: Calculate cash balance

Current Assets ($245,000)- Accounts Receivable ($130,550)- Prepaid Insurance ($7,500)- Prepaid Rent ($4,800)- Supplies ($9,150) = $93,000

Answer:

Cash balance is $93,000. For the balance - sheet:

Line Item Description Amount
Cash $93,000
Accounts Receivable $130,550
Prepaid Insurance $7,500
Prepaid Rent $4,800
Supplies $9,150
Total current assets $245,000
Equipment $230,000
Less: Accumulated Depreciation - Equipment $45,000
Land $320,000
Total property, plant, and equipment $505,000
Total assets $750,000
Accounts Payable $41,200
Salaries Payable $3,800
Unearned Fees $13,500
Total liabilities $58,500
Common Stock $90,000
Retained Earnings $601,500
Total stockholders' equity $691,500
Total liabilities and stockholders' equity $750,000